Florida Attorney General issues civil subpoenas to six pharmaceutical manufacturers

Jul 20 2004

Florida Attorney General Charlie Crist has issued civil subpoenas to six pharmaceutical manufacturers regarding their wholesale pricing practices. The investigation focuses on estimated overcharges to the Medicaid program of in excess of $100 million.

"We need to get to the bottom of pharmaceutical pricing practices," said Crist. "If a violation has occurred, we will pursue and recoup these funds, which will help citizens and the overall state budget."

The subpoenas request materials that will assist in the determination of liability under the Florida False Claims Act. The materials are to be provided to the Attorney General's Office by August 16, 2004. The manufacturers are: Mylan, Geneva, Ivax, PurPac, Teva and Watson. The time frame of the questioned conduct is 1994 to the present.

Florida's Medicaid program reimburses pharmaceutical providers at wholesale prices reported by manufacturers. The subpoenas will help determine whether the reported wholesale prices were inflated beyond the actual wholesale price, resulting in overpayments.